AFFLUENCE

DIRECTOR’S REPORT TO THE SHAREHOLDERS

1.     The Directors of your Company have great pleasure in presenting the Twenty Second Report of the Company together with the Audited Statement of Accounts for the year ended 31st March 2014.

2.     The Financial Results of the Company for the year 2013-2014 are as follows:-

                                                                     (Rs. in lakhs)

2013-2014               2012-13

            Income from operation(Lease                       09.79                   07.63      

            Rent)

            Other Income                             4.48                       1.41

            Total Expenditure                     12.03                       11.48

             Depreciation                             9.50                        9.48

             Profit / (Loss) before Tax         (7.26 )                   (11.92)

             Tax expenses (FBT)                        --                        --

              Net profit / (Loss)                  (11.92)                     (6.38)

3.      (a) In view of the business conditions of the Textile industry, the Company has leased its infrastructure for the limited period.

        (b) After providing   for depreciation of Rs.9.50 lakhs your Company has a Net Loss of Rs.7.26  lakhs for the current year.

        (c) On account of Net Loss of Rs.7.26 lakhs during this year and of tight financial position of the Company, the Board of Directors of your Company is not recommending any dividend for the current year.

4. The details required in connection with under Sec. 217(1)(e) is given in the Annexure which forms part of this report.

 5. The particulars required under Sec. 217(2A) read with Companies (Particulars of employees) Rules 1975 may be taken as Nil.

6. Compliance Report:

    The Compliance Certificate issued by Sri R. Kannan, Practicing Company Secretary is enclosed along with this report.

7. Directors Responsibility Statement:

In compliance of Sec. 217 (2AA) of the Companies Act, 1956 as amended by Companies (Amendment) Act, 2000

i)                   that in preparation on the Annual Accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

ii)                that the Directors have selected such accounting policies and applied them consistently and made judgments and estimates view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for that period;

iii)              that the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

iv)              that the Directors had prepared the Annual Accounts on a going concern basis.

8. Disclosure of loans / advances and investments in its own shares by the listed Companies, their subsidiaries, associates etc. are nil.

9.  Auditors:

M/s R. Chandra Sekar & Co., Chartered Accountants, Pondicherry the Statutory Auditors of the Company retire at the ensuing Annual General Meeting and are eligible for reappointment.

 10.   Acknowledgement: 

The Directors wish to place on record the appreciation of the commendable work done by all the employees and executive of the Company.

FOR AND ON BEHALF OF THE BOARD

Date: 24.07.2014                                               (B. KANNAN)

Place: Puducherry                                              CHAIRMAN

ANNEXURE TO DIRECTORS’ REPORT

Information as per Sec. 217(1)(e) of the Companies Act, 1956 read with Companies  ( Disclosure of Particulars in the Report of  Board of  Directors )

Rules, 1988 and forming part of the Directors’ Report for the year ending 31st March 2014.

FORM ‘A’

 (See Rule 2)              

(Particulars with respect to conservation of energy)

                                                           31.03.2014                 31.03.2013

1. Conservation of Energy                       Nil                                Nil

2. Technology Absorption                      Nil                                  Nil

3. Foreign Exchange Earnings

    and outgoings                                    Nil                                  Nil